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XRP Momentum Rebuilds After Support Bounce, Targets $2.35

XRP Momentum Rebuilds After Support Bounce, Targets $2.35

Author:
XRP News
Published:
2026-01-17 17:41:32
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XRP is showing signs of a significant momentum shift as it bounces from a critical long-term support zone, with analysts now eyeing a potential target of $2.35. After enduring weeks of struggle and a prolonged bearish phase in late 2025, the cryptocurrency's price action is indicating stabilization rather than continued decline. The key development highlighted by market observers is XRP's successful reclamation of its previously broken support line on the four-hour chart, which serves as a technical confirmation of the reversal pattern. This breakthrough suggests that the selling pressure that dominated previous weeks has subsided, allowing buyers to regain control of the market narrative. The support bounce represents more than just a temporary price recovery—it signals a fundamental shift in market structure that could pave the way for sustained upward movement. Technical analysts point to the importance of this support zone, which has historically served as both resistance and support during different market cycles. The fact that XRP found firm footing at this level indicates strong accumulation by institutional and retail investors who recognize the asset's underlying value proposition. Market sentiment surrounding XRP has noticeably improved following this technical development, with trading volume increasing alongside the price recovery. This volume confirmation suggests genuine buying interest rather than mere short-covering or speculative trading. The $2.35 target represents a significant resistance level that, if broken, could open the door to further gains as the cryptocurrency reestablishes its bullish trajectory. Fundamental factors continue to support XRP's long-term prospects, including ongoing developments in its utility for cross-border payments and regulatory clarity that has gradually improved since earlier legal challenges. The current technical setup, combined with these fundamental tailwinds, creates a compelling case for XRP's continued recovery throughout early 2026. Investors and traders will be watching closely to see if the cryptocurrency can maintain its momentum above key support levels and make meaningful progress toward the identified target.

XRP Momentum Rebuilds After Support Bounce, Targets $2.35

XRP is regaining momentum following a bounce from a long-term support zone, signaling a potential reversal of its recent downtrend. The cryptocurrency has struggled for weeks, but price action now suggests stabilization rather than further decline.

Analysts highlight the significance of XRP reclaiming its previously broken support line on the four-hour chart. This upward movement follows a prolonged bearish phase in late 2025, characterized by lower highs and lower lows. The recent bounce off long-term support has sparked renewed buyer interest.

Technical indicators show promise: XRP now trades above both the 50-period and 200-period exponential moving averages, with the 50 EMA flattening after months of decline. This typically signals weakening bearish pressure. The next critical test will be whether XRP can sustain above these key levels.

XRP Faces Critical Support Test Amid Bearish Trendline Pressure

XRP's market structure shows vulnerability as it struggles to maintain the $2.00 support level. The cryptocurrency recently completed an ABC correction pattern, with the B wave unexpectedly deep, reaching the 0.618 Fibonacci level at $2.09. This sets the stage for a potential C wave that could test $2.26-$2.28 resistance—a golden retracement zone where Fibonacci extensions converge.

Technical indicators reveal persistent weakness. XRP remains constrained by a bearish trendline originating from its $2.40-$2.45 highs, with repeated rejection suggesting strong selling pressure. Market participants await a decisive break above $2.18 to signal trend reversal potential.

The $2.02-$2.00 zone now serves as critical support. Failure to hold risks triggering a 20% decline toward $1.65—a level representing the larger Wave 3 target. Current price action suggests buyers are actively defending key Fibonacci levels, but weakening momentum may embolden bears.

XRP's Resurgence: Regulatory Clarity and Infrastructure Growth Fuel Optimism

XRP is regaining market attention after years of regulatory uncertainty, with renewed focus on its underlying technology—the XRP Ledger. Panos Mekras, a veteran in the ecosystem, highlights both the untapped potential and structural challenges facing the network.

While liquidity constraints and limited developer tools remain hurdles, Ripple's push to reposition XRP beyond banking use cases could reignite institutional interest. The asset's technical resilience and real-world utility position it as a dark horse in the evolving crypto landscape.

XRP Whales Accumulation Signals Potential Price Rally Amid Multi-Chain Tokenization Boom

XRP is gaining renewed attention following a pivotal announcement from the Depository Trust & Clearing Corporation (DTCC). The post-trade infrastructure giant confirmed that tokenized securities will operate across multiple blockchains, signaling institutional demand for compliant, interoperable solutions. This shift from pilot programs to production-grade implementation marks a watershed moment for blockchain adoption in traditional finance.

Ripple's native token stands out in this multi-chain landscape. Its rapid settlement times and cost-efficient transfers position XRP as a viable bridge asset for cross-chain tokenized securities. Liquidity depth—a chronic challenge in blockchain interoperability—appears less problematic for XRP compared to newer entrants.

On-chain data reveals whales have acquired over 50 million XRP tokens within a week. Such accumulation typically precedes volatile price movements. Market observers note growing institutional interest in blockchain-based settlement solutions could drive XRP toward the $9-$10 range—a level not seen since its 2018 peak.

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